Direct bank payment service provider GoCardless has teamed up with small business platform Xero to offer its Instant Bank Pay feature to Xero users in the UK.
A new Open Banking function called Instant Bank Pay has been seamlessly incorporated into the GoCardless global payment system. With Instant Bank Pay, Xero users can continue to benefit from Direct Debit for their recurring payments while also accepting one-time bank-to-bank payments from both new and existing customers.
All companies, including those with recurring revenue models, are supported by Instant Bank Pay. 85 percent of businesses with recurring revenue need to collect one-time payments, like an extra charge during tax season, according to GoCardless research.
Customers of Xero can accept one-off account-to-account payments through Instant Bank Pay, benefiting from instant confirmation and quick payment authorisation. Additionally, they will benefit from quick, one-day settlement and having access to recurring and immediate one-off payments from a single provider.
The time it takes to create and send invoices, then chase down payments using various systems, is one of the biggest challenges for small businesses, the official press release states. Xero is facilitating the collection of payments from clients by offering the GoCardless Instant Bank Pay feature.
Merchants can send a payment request with a link to pay or add the Instant Bank Pay option directly into their checkout process. Customers who are linked to their bank can quickly authorize payments from their bank accounts, much like a mobile wallet payment.
In the US, UK, and Germany since April 2021, GoCardless has launched two Open Banking-powered features, Instant Bank Pay and Verified Mandates, which combine direct debit with Open Banking account information services to prevent fraud.
By fLEXI tEAM